Bitcoin (BTC), the leader in the world of cryptocurrencies, continues to resist the events happening both globally and in the market. While Ethereum and other altcoins continue to lose their power in the market, Bitcoin’s dominance has shown a clear increase, surpassing 50% from its initial value of 38% at the beginning of 2023.
Bitcoin’s Current Situation
Bitcoin’s power and performance in the market have made it an option for investors who want to diversify their investments in both the cryptocurrency market and general market conditions. This perspective was also expressed by Caroline Mauron, the co-founder of OrBit Markets.
Despite traditional market conditions since the beginning of the year, Bitcoin has experienced a 66% price increase, while Ethereum has seen a 32% increase. The events that occurred after the Merge event, which was thought to have an impact on the price, had a greater impact among investors. Kaiko’s report stated the following:
In fact, Ethereum has shown significantly lower performance in the broader market since Merge, both in terms of ETH/BTC price and volume ratio, which declined throughout last year. Ethereum’s underperformance is likely due to the continued influence of the bear market, which historically has seen investors turning to Bitcoin.
Currently, Bitcoin (BTC) has recovered slightly after its decline and is trading at $27,674 with a 0.3% increase and a market value of $538 billion. Renowned analyst Ali conducted a study on the 2-hour chart. According to his analysis, there has been a breakout in the Bitcoin chart formation. The next support level in Bitcoin is at $26,200.
Bitcoin Rises, Ethereum Loses!
When looking at Ethereum, there has been a decrease of approximately 18% since June. In the same period, Bitcoin’s decline was only half of that. In the overall cryptocurrency market with a total value of $1 trillion, Ethereum’s value decreased from 18.4% to 17.8%.
Successive moves, the sales made by Vitalik and the rumors about Ethereum’s growth continue to circulate. Activities and transaction fees on the network have noticeably decreased. Another problem in the cryptocurrency market is the centralization fears that have emerged in the Ethereum network. Investors continue to seek answers to these issues.
In October, the launch of the Ethereum Futures ETF in the US took place. However, this entry did not have the expected impact and strengthened the rumors surrounding Ethereum. As of now, the price of ETH is trading below $1592 with a 0.78% increase.
